amazon sells droid phones for a penny

[Amby 490]

NEW YORK (CNNMoney.com) -- Amazon is currently selling all Droid phones for a penny when customers sign up for a new Verizon Wireless contract.

The deal is good for all of Verizon's (VZW) U.S. Droid phones, including the Droid X and new Droid Pro, through November 22. Customers starting new accounts will also get a $35 credit to cover the full cost of activating the phone.

Smartphone competition across all carriers seems to be sparking a race to the bottom in pricing -- a far cry from the $199 "magic price point" that's been in place so far.

Amazon (AMZN, Fortune 500) kicked off the smartphone-for-a-penny campaign back in August, when it slashed the Samsung Vibrant to 1 cent. Just last week, the site was selling two Windows 7 phones -- the HTC Surround and LG Quantum -- for 1 cent with a two-year contract from AT&T (T, Fortune 500). Last week's special also included some BlackBerry, Android and Palm models.

It's tough to beat a 1 cent deal, but that's applicable only to new accounts -- current customers are left out. Those eligible to upgrade their phones and extend their contracts can get a discounted phone -- for the Droid X, it's currently $49.99 -- but anyone not eligible for a trade-up will be paying full freight. That's $559.99 right now on Amazon for the Droid X.

A Verizon Wireless representative declined to comment on the offer, which Amazon said the company is sponsoring.

What smartphones really costBest Buy's (BBY, Fortune 500) deal is no one-penny special, but the retailer is offering the Droid Pro for $99.99 to existing Verizon Wireless customers who sign a new two-year agreement. That's $80 off the usual price with a signed contract.

It's still relatively early in the smartphone game, and it's still an open question how low the price will go. Ultimately, the device could become merely a throw-in incentive to buy a wireless contract.

There's one smartphone that customers won't see in the bargain bin, however: The iPhone. Apple (AAPL, Fortune 500) generally doesn't allow its devices to be sold for any much less than the sticker price

http://money.cnn.com/2010/11/19/technology/amazon_droid/index.htm?source=cnn_bin&hpt=Sbin

[SuperDuper! 230]

That 1 Penny Droid SmartPhone is NO bargain when your monthly wireless bill is $90 dollars or more during a two year contract. Do the math....

BOING!

[Amby 490]

That 1 Penny Droid SmartPhone is NO bargain when your monthly wireless bill is $90 dollars or more during a two year contract. Do the math....

BOING!

eh? for verizon the unlimited package you have to get for the smartphones is $30/month

btw I don't like the droid...it made me cry (for real)

[SuperDuper! 230]

eh? for verizon the unlimited package you have to get for the smartphones is $30/month

btw I don't like the droid...it made me cry (for real)

So even $30/mo +taxes x24 months, ,locked in with a $300 early disconnect fee....Sure makes a one cent phone seem NOT like a bargain....Misleading advertising.

BOING!

Edited November 22, 2010 by Boing!

[Amby 490]

So even $30/mo +taxes x24 months, ,locked in with a $300 early disconnect fee....Sure makes a one cent phone seem NOT like a bargain....Misleading advertising.

BOING!

I mainly posted it for spooky because he has a ####### for the droid.

[SuperDuper! 230]

I mainly posted it for spooky because he has a ####### for the droid.

Ahh, well in that case, I hope spooks bites on that 1 cent bargain deal and feels like a smart guy!

[Amby 490]

Boingy...on the Verizon site they're still $200 so it's a deal when it comes to purchasing the phone

[spookyturtle 9,466]

So even $30/mo +taxes x24 months, ,locked in with a $300 early disconnect fee....Sure makes a one cent phone seem NOT like a bargain....Misleading advertising.

BOING!

I suppose you think that it would be smarter to buy it for $199 and still pay the $30 month data fee?